    [Public Papers of the Presidents of the United States: George W. Bush (2004, Book III)]
    [November 20, 2004]
    [Pages 2987-2992]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks at the Closing Session of the Asia-Pacific Economic Cooperation
    Summit in Santiago
    November 20, 2004

        Thank you very much. Sientese. Gracias. Thank you for the warm
    welcome. It is such an honor to be in Chile. Who is ever responsible for
    the weather, thank you very much. Laura and I are
    delighted to be here. Chile is such a fabulous country. It's a great
    place to talk about entrepreneurship and the entrepreneurial spirit.
    It's a country which shows the world what is possible when you create
    the right conditions for economic vitality and economic growth. And
    we're so honored to be here.
        I want to thank my friend Ricardo Lagos
    for organizing this summit. I appreciate the business leaders who are
    here. I thank you for your interest in working collaboratively with
    business leaders from around the world. And as a result of vision and
    hard work, we meet today on the eastern rim of an incredibly dynamic
    region.
        In our lifetimes, we've seen the Asia-Pacific region grow in wealth
    and freedom beyond many--beyond that which many thought was possible. If
    you think back about 20 years ago, what people thought about the Asian-
    Pacific region, they couldn't imagine such prosperity and such wealth
    and such freedom. And that's what APEC is all about, as far as I'm
    concerned. And that's why it's an honor to be here at this summit with
    my fellow leaders.
        Incredibly enough, APEC economies account for nearly half of all the
    world trade and half of the world's economic output. For somebody who is
    interested in prosperity for my own citizens, it's a good place to hang
    out, with that much trade, commerce. And I believe that this new
    century, with the right policies, can extend the prosperity even
    further. And that's what we're here to discuss.
        I believe we must increase the flow of trade and capital. I know our
    societies must reward enterprise and open societies and open markets. I
    know we've got to reject the blocks and barriers that divide economies
    and people. And I believe, with the right policies, we can continue to
    grow.
        I'm honored to be here today with a man who has served our country
    so well, a great United States Secretary of State, Colin Powell. Right after my speech, he's headed to the Middle
    East. That's a heck of a retirement, Mr. Secretary. [Laughter] I look
    forward to your report when you get back.
        I want to thank the U.S. members of the APEC Business Advisory
    Council. I want to thank you for your hard work. I want to thank you for
    representing our country so well. I appreciate Gary Benanav and Mike Drucker--Mike Ducker
    and Robert Prieto for your hard work in
    organizing this summit and representing the business leaders who are
    here.

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        You know, what's interesting about our country is that for years, we
    were isolated from the world by two great oceans, and for a while we got
    a false sense of security as a result of that. We thought we were
    protected forever from trade policy or terrorist attacks because oceans
    protected us. What's interesting about today's world is that the oceans
    now connect us. It didn't take all that long in the march of history for
    that change to take place. And therefore, America must respect and value
    the friendships that we're able to make as a result of our transatlantic
    and transpacific ties. Right after I'm inaugurated, I'll go to Europe to
    renew our transatlantic ties, to remind the people of Europe how
    important my administration regards our vital Atlantic alliance.
        And of course, our Nation is Pacific country as well. And that's why
    the APEC* conferences are so important. Do you realize, the capital of
    our 50th State is nearly as close to Sydney and Manila as it is to
    Washington, DC? That's a Pacific Rim nation. More than 15 percent of
    Americans claim Hispanic or Asian-Pacific heritage. Our APEC partners
    account for nearly two-thirds of all American exports and imports.
    America's future is inseparable from our friends in the Pacific. And by
    working together and by continuing to foster reasonable progrowth
    economic policies, the fellowship of Pacific nations will continue to be
    strong. That's what I'm here to tell you.
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        *White House correction.
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        There is a different attitude in the world about foreign policies,
    particularly if you happen to be an influential nation. In the past,
    many powerful nations preferred others to remain underdeveloped and
    therefore dependent. It was a cynical doctrine. And that doctrine is
    unsuited for our times. In this century, countries benefit from healthy,
    prosperous, confident partners. Weak and troubled nations export their
    ills--problems like economic instability and illegal immigration and
    crime and terrorism. America and others sitting around the table here at
    APEC understand that healthy and prosperous nations export and import
    goods and services that help to stabilize regions and add security to
    every nation. So we've got three clear goals to help spread prosperity
    and hope and to secure the peace.
        We want to seek wider trade and broader freedom and greater security
    for the benefit of our partners and for the benefit of all. That's what
    I'm going to do over the next 4 years. The first goal is to lower
    barriers to trade and investment and to promote sound fiscal policies
    for all our governments. Free and fair trade combined with prudent
    fiscal discipline are the foundation of the region's remarkable
    prosperity, and I'm committed to staying on the path to progrowth--
    proeconomic growth--economic growth by progrowth policies. We're doing
    our part.
        You know, we've overcome a lot in the U.S. economy. We faced a
    recession, coupled with terrorist attacks, which affected our capacity
    to grow. But we stimulated our economy by cutting taxes. And America is
    growing again, and people are working. And the question ahead is, how do
    we make sure we maintain growth?
        We need legal reform in the United States. We got to make sure that
    those who risk capital are rewarded for taking risk and not subject to
    needless and frivolous lawsuits. We need regulatory reform in the United
    States. Our Tax Code is too complex. So I'm going to work with members
    of both political parties to simplify the Tax Code.
        But I also understand there is concern about whether or not our
    Government is dedicated to dealing with our deficits, both short term
    and long term. I look forward to standing up in front of the Congress in
    my State of the Union and telling them why I submitted a budget that
    will help us deal with the short-term deficit of the United States, and
    I will do that. And I'll also work with Members of Congress to

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    deal with the unfunded liabilities of our entitlement systems, so that
    we can say clearly to the world, the United States of America is
    committed to deficit reduction, both short term and long term.
        Overall, the economy of this part of the world is expected to grow
    by nearly 5 percent this year. And that's good news, and the United
    States wanted to be a part of that growth. We can add to that progress
    by reducing trade barriers that I believe are an obstacle to economic
    growth everywhere, especially in the developing world. And so this
    Government and our country is strongly committed to the WTO's Doha round
    of negotiations. And my trade minister will be strongly committed to
    ensure the success of the WTO round. And we need your help in making
    sure that nations around the APEC table are focused on the benefits of
    global trade, that we put aside some differences that could prevent Doha
    from going forward.
        We will continue to assist our Asia-Pacific partners in meeting
    their WTO obligations. We are encouraging Russia and Vietnam in their
    efforts to join the WTO. The history between our countries has changed
    dramatically between America and Vietnam and Russia. The tensions are no
    longer existing. Conflict is behind us, and we have a chance to work
    with those countries for the common good, and we will.
        We're going to be aggressive about our bilateral trade agreements
    and our regional trade agreements. We've completed trade agreements with
    nations throughout Asia and the Americas, including Australia,
    Singapore, Chile, the five nations of Central America, and the Dominican
    Republic. We are working on new agreements with Thailand, Panama, the
    Andean nations of South America. We're moving ahead with the enterprise
    for the ASEAN initiative, which is lowering trade barriers and
    strengthening economic ties in Southeast Asia. We're committed to the
    Bogor goals, which call for free trade among developed nations of the
    Asian-Pacific region by 2010 and free trade among all APEC economies by
    2020. We seek free trade in the Americas, uniting the markets of all 34
    free nations in the Western Hemisphere.
        I think you can tell that I believe free trade is necessary for
    economic development, that free trade is essential to prosperity. But it
    is not sufficient, and we understand that. All governments in the region
    must make the difficult choices needed to stabilize economies and to
    keep public finances on foot. We have been impressed by the reform
    programs in Chile and Colombia and Uruguay that have spurred growth and
    investment in those countries and throughout the region.
        My Nation and many others have acted to lift the crushing burden of
    debt that limits the growth of developing economies and holds millions
    of people in poverty, and we will continue to do so. We will continue
    working to relieve the current debt of those highly indebted poor
    countries that pursue sound fiscal policy. We will continue to encourage
    our large trading partners to adopt flexible market-based exchange rates
    for their currencies. Expanding prosperity has lifted millions in our
    region out of poverty, has bound our nations closer together, and has
    benefited all our people. And my administration will continue to promote
    pro-growth, pro-trade economic policies for the good of all.
        Our second goal is to spread the benefits of freedom and democracy
    and good government across parts of the world. We've seen progress
    toward these goals in the recent history of the Asia-Pacific region.
    We've seen some interesting lessons of history as free markets take
    hold: The demand for limited government and self-rule builds. That's why
    it's important to promote free trade and open market policies.
        In the long run, economic freedom and political liberty are
    indivisible, and the advance of freedom is good for all, as free
    societies are peaceful societies. My Government and many others are
    working with

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    countries to lay the foundations for democracy by helping them institute
    the rule of law and independent courts and a free press and political
    parties and trade unions. We have joined with other members of the
    Organization of American States to create the Inter-American Democratic
    Charter. This charter recognizes democracy as a fundamental right of all
    peoples in the Americas and pledges our governments to promoting and
    defending the institutions and habits of liberty.
        Because political liberty and economic freedom go hand in hand,
    America and many nations have changed the way we fight poverty, curb
    corruption, and provide aid. In 2002, we created the Monterrey
    Consensus, a bold approach that links new aid from developed nations to
    real reform in developing ones. We created the Millennium Challenge
    Account in America that says we'll increase aid and help to nations
    which are willing to fight corruption, which are willing to educate
    their people, which are willing to spend money on the health of their
    citizens, and nations which are willing to expand economic freedom. We
    owe that to the taxpayers of the United States, to promote the habits
    necessary for free societies to develop. And we believe every nation is
    capable of fighting corruption, is capable of putting good economic
    policies in place, is capable of educating their people and helping
    defeat the scourge of bad health care.
        Developing nations have responded, and we appreciate that, but not
    nearly as much as the people who live in their countries. They've
    responded by fighting corruption, by building schools and hospitals, and
    passing new laws that reward enterprise from their people.
        The United Nations also has an important role, and America has
    proposed a democracy fund to help countries lay the foundations of
    democracy and help set up voter precincts and polling places and support
    the work of election monitors.
        The growth of free and hopeful societies depends on controlling the
    spread of deadly diseases, especially AIDS and tuberculosis and malaria.
    HIV/AIDS cases are growing in the Asian-Pacific region. It's an issue we
    just discussed with the leaders around the table. Last year more than 1
    million new HIV infections occurred in Asia, one out of every five
    infections worldwide. My Nation is working to fight this disease through
    a $15 billion Emergency Plan for AIDS Relief--15 billion over 5 years,
    which helps--provides help for 100 nations around the world. Earlier
    this year, we expanded the focus of this effort by committing new
    resources to Asia.
        As part of this effort, the United States is supporting the United
    Nations Global Fund, and other nations need to participate in that fund.
    It's not the United States global fund; it is the world global fund. And
    so I'm going to continue to urge nations here at this APEC Summit to
    contribute to that fund, to help defeat this pandemic that has swept
    across the continent of Africa and now threatens nations in Asia. It is
    the greatest--AIDS is the greatest health crisis of our time, and all
    nations must join in a united effort to turn the tide against this
    terrible disease.
        The spread of liberty is our most powerful weapon in the fight
    against hatred and terror. And we've seen some amazing events take place
    in the history of liberty. Perhaps the most amazing of all took place in
    Afghanistan when millions of people showed up to vote for the President
    of that country some 3 years after that country had been ruled by the
    barbarians called the Taliban. And the most amazing moment of all in
    this march of democracy was the fact that the first voter was a 19-year-
    old woman. Freedom has taken place in parts
    of the world where people never dreamt freedom is possible, and as a
    result, the world is better for it.
        Our third great goal is to help keep up the fight against the forces
    of terror that threaten the success of our economies and

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    the stability of the world. Every nation represented here has a stake in
    this conflict. Terrorism is a threat not just to the West or to the
    wealthy but to all of us. And all of us must do everything we can to
    defeat the murderers.
        We're determined to end the state sponsorship of terror. And my
    Nation is grateful to all that participated in the liberation of
    Afghanistan. We're determined to prevent the proliferation of deadly
    weapons and materials and to enforce the just demands of the world. And
    my Nation is grateful to the soldiers of those nations who've helped to
    deliver the Iraqi people from an outlaw dictator. We're determined to destroy terrorist networks
    wherever they operate, and the United States is grateful to every nation
    that is helping to seize terrorist assets and to track down their
    operatives and to disrupt their plans.
        APEC nations are playing a crucial role in the war on terror, for
    which we are very grateful. We'll continue to work with nations that
    have the will to fight terror but need help in developing the means.
    We're sharing intelligence and increasing our cooperation in customs and
    law enforcement to stop terrorists before they can strike. We're moving
    forward on the initiatives of last year's summit in Bangkok to
    strengthen the security of our ports and transportation networks, to
    defend our aircraft from the threat of portable missiles, and to end the
    flow of terrorist finances.
        America has joined with Singapore to found a new research institute,
    which opened this year, dedicated to stopping the spread of deadly
    diseases and combating the threat of bioterrorism. We're working to
    ensure that the shores of the Pacific remain peaceful. In Santiago, APEC
    leaders committed to signing by 2005 the additional protocol of the IAEA
    safeguards agreements, which requires nations to declare a broad range
    of nuclear activities and facilities and allows the International Atomic
    Energy Agency to inspect those facilities. And I appreciate that
    cooperation and that commitment.
        We also agreed to further strengthen our Nation's export controls
    and to develop a new system to track and stop the travel of suspected
    terrorists using forged or stolen documents. Through the Proliferation
    Security Initiative, many nations are also fighting the trade in deadly
    weapons. And over the past years we've had notable successes, most
    particularly the disruption of the A.Q. Khan network and its willingness and capacity to spread
    deadly technology to nations that would like to inflict harm on the--to
    inflict harm on nations like APEC members.
        Five APEC members are working to convince North Korea to abandon its
    pursuit of nuclear weapons, and I can report to you today, having
    visited with the other nations involved in that collaborative effort,
    that the will is strong, that the effort is united, and the message is
    clear to Mr. Kim Chong-il: Get rid of your
    nuclear weapons programs.
        In all our efforts, we'll maintain and strengthen the alliance among
    our nations that have served the peace so well. By making our countries
    safer, these steps will also create a more secure business environment
    and boost confidence in our economies. You know as well as I know that
    terrorist attacks affect the capacity of people to make a living. We
    discovered that firsthand in the United States of America when we lost
    nearly a million jobs in the 3 months after the September the 11th
    attacks. The people of Bali, Indonesia, know what I'm talking about when
    it comes to terrorist attacks. We have an obligation as nations to work
    together to stop terrorism.
        And you in the private sector have an important role to play. The
    new inspection technologies that you create can shorten delays and
    reduce insurance costs and cut redtape. By working closely with customs
    officials of APEC governments to establish

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    better procedures, you can make the delivery of goods and services more
    secure and more efficient.
        These are great goals that I've just talked about: goals to advance
    our common prosperity, goals to spread freedom and dignity, and goals to
    strengthen our common security. And I have come here to Chile to tell my
    colleagues and friends, the United States of America is committed to
    achieving those goals for the next 4 years.
        Thank you for your interest. Thank you for coming.

    Note: The President spoke at 4:47 p.m. at the Casa Piedra. In his
    remarks, he referred to President Ricardo Lagos of Chile; Gary Benanav,
    Mike Ducker, and Robert Prieto, United States members, Asia-Pacific
    Economic Cooperation Business Advisory Council (ABAC); A.Q. Khan, former
    head of Pakistan's nuclear weapons program; and Chairman Kim Chong-il of
    North Korea.